Greystone Housing Impact Investors LP

Greetings and welcome to the Greystone Housing Impact Investors Conference Call. At this time, I would like to turn the call over to your moderator today, Mr. Jesse Curry, CFO, for opening remarks. Thank you, sir. You may begin.

Thank you. I would like to welcome everyone to the Greystone Housing Impact Investors LP NYSE, ticker symbol GHI, first quarter of 2024 earnings conference call. During the presentation, all participants will be in a listen-only mode. After management presents its overview of Q1 2024, you will be invited to participate in a question-and-answer session. As a reminder, this conference call is being recorded. During this conference call, comments made regarding GHI, which are not historical facts, are forward-looking statements and are subject to risks and uncertainties, that could cause the actual future events or results to differ materially from these statements. Such forward-looking statements are made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by the use of words like may, should, expect, plan, intend, focus, and other similar terms. You are cautioned that these forward-looking statements speak only as of today's date. Changes in economic, business, competitive, regulatory, and other factors could cause our actual results to differ materially from those expressed or implied by the projections or forward-looking statements made today. For more detailed information about these factors and other risks that may impact our business, please review the periodic reports and other documents filed from time to time by us with the Securities and Exchange Commission. Internal projections and beliefs upon which we base our expectations may change, but if they do, you will not necessarily be informed. Today's discussion will include non-GAAP measures and will be explained during this call. We want to make you aware that GHI is operating under the SEC Regulation FD and encourage you to take full advantage of the question and answer session. Thank you for your participation and interest in Greystone Housing Impact Investors LP. I will now turn the call over to our Chief Executive Officer, Ken Rogozinski.

Good afternoon, everyone. Welcome to Greystone Housing Impact Investors LP's first quarter 2024 investor call. Thank you for joining. I will start with an overview of the quarter and our portfolio. Jesse Corey, our Chief Financial Officer, will then present the partnership's financial results. I will wrap up with an overview of the market and our investment pipeline. Following that, we look forward to taking your questions. For the first quarter of 2024, the partnership reported net income of 42 cents per unit and 23 cents of cash available for distribution, or CAD, per unit. Our first quarter reported net income of 42 cents per unit includes a 4.6 million non-cash gain that reflects the mark-to-market associated with our interest rate swap portfolio for the quarter. That translates to 20 cents per unit in non-cash gain, which is not reflected in CAD. We are currently a net receiver on substantially all of our interest rate swaps as we receive compounded SOFR, which is now 5.31%, and pay a weighted average fixed rate of 3.39% on our approximately $313 million in swap notional amounts as of March 31st, 2024. Assuming that the compounded SOFR level stays constant over the next six months, that 192 basis point spread would result in us receiving approximately $3.2 million in cash payments from our swap counterparties, which would not be reflected in our net income, but would be reflected as an additional 14 cents per unit in CAD. We also reported a book value of $14.59 per unit on 1.45 billion of assets and a leverage ratio as defined by the partnership of 71%. On March 13th, we announced a regular quarterly cash distribution of 37 cents per unit and a supplemental distribution of 7 cents per unit in the form of additional units, both of which were paid on April 30th, 2024. In terms of the partnerships investment portfolio, we currently hold $1.22 billion of affordable multifamily investments in the form of mortgage revenue bonds, governmental issuer loans, and property loans, and $145 million in joint venture equity investments. As far as the performance of the investment portfolio is concerned, we have had no forbearance requests for multifamily mortgage revenue bonds, and all such borrowers are current on their principal and interest payments. Physical occupancy on the underlying properties was at 92.1% for the stabilized mortgage revenue bond portfolio as of March 31st, 2024. Our Vantage joint venture equity investments consist of interest in seven properties, four where construction is complete, with the remaining three properties either under construction or in the planning stage. For the four properties where construction is complete, we continue to see good leasing activity. We continue to see no material supply chain or labor disruptions on the Vantage projects under construction. As we have experienced in the past, the Vantage Group, as the managing member of each project-owning entity, will position a property for sale upon stabilization. As previously announced, the Vantage of Tomball property has been listed for sale. We have four joint venture equity investments with the Freestone Development Group, one for a project in Colorado, and three projects in Texas. Site work has commenced on two projects, and construction has commenced on one of the projects in Texas. Our joint venture equity investment in Volage Senior Living Carson Valley, a 102-bed seniors housing property located in Minden, Nevada, has begun vertical construction, and the project currently has leased deposits for 48 of the property's 102 units. Our joint venture equity investment in the Jessamine Hayes Farms, a new construction 318 unit market rate multifamily property located in Huntsville, Alabama has commenced vertical construction as well. As previously announced in December, 2023, we sold our final MF property investment, the Suites on Paseo Student Housing Project. The partnership no longer owns any operating real estate property investments. With that, I will turn things over to Jesse Corey, our CFO, to discuss the financial data for the first quarter of 2024. Thank you, Ken.